- VELO’s trading volume nears a breakout, echoing past surges that led to massive price spikes. A bullish rally may be forming.
- Historical cycles show VELO rebounds after corrections, with key support levels indicating potential for another uptrend.
- Declining volume mirrors past pre-breakout patterns. If a volume spike occurs, VELO could see a sharp upward move.
According to analyst Javon Marks, VELO’s trading volume is on the brink of a colossal breakout. A similar volume increase in late 2023 led to an explosive 1,000% price surge. Consequently, another massive rally may be forming. The price chart highlights a pattern of cycles, with key levels indicating another potential upward move. Moreover, the volume chart reveals multi-month lows, suggesting a possible reversal soon.
Historical Patterns Suggest Bullish Momentum
VELO has followed a cyclical price movement over the past two years. In early 2023, it witnessed an initial surge before declining. However, late 2023 saw another breakout, marked by increased trading volume. This breakout fueled an uptrend into early 2024. Prices nearly doubled before a correction set in.
Another rally emerged in mid-2024, pushing VELO to its highest recorded level. However, a slow decline followed, leading to its current state. Now, another breakout signal appears at a crucial support level. Besides, historical price trends indicate that a rebound could be imminent. The chart suggests that the previous resistance has now turned into strong support, a bullish indicator.
Trading Volume Signals Imminent Move
VELO’s volume chart showcases a declining trend since 2023. However, it is currently hovering at multi-month lows. Significantly, a similar drop in volume preceded the last breakout in 2023. Consequently, a volume spike at this stage could trigger another surge. Moreover, historical price action suggests that lower volume levels often precede substantial bullish breakouts.
Another key observation is the descending trendline on the volume chart. It indicates that trading activity has been compressing, but such periods often lead to an explosive move. Hence, if VELO breaks out of this compression phase, an upward rally could follow.
Given previous market cycles, another bullish phase could be underway. Additionally, multiple crypto assets currently show negative percentage changes. If market sentiment shifts, VELO could attract increased attention.
